EU Reaches Car Emissions Deal

The European Union reached a compromise deal late Monday that, if ratified, will slash carbon emissions from all new cars beginning in 2020.

The deal would ensure all new cars manufactured in 2020 and beyond would emit no more than 95 grams of carbon dioxide per kilometer, Reuters reports. The agreement must still be ratified by EU member states.

Each manufacturer will have an individual target for reducing carbon dioxide emissions, under the rules outlined in the agreement. The automaker’s existing fleet and their previous efforts to improve efficiency and reduce emissions will be taken into account.

Germany sought to delay the emissions rules in an effort to protect its luxury car makers, such as BMW and Daimler, which would see their costs increase and profit margin margins shrink under the stricter new rules, according to Reuters.

Member states rejected a German proposal that would have allowed automakers to carry over credits that were accrued before the new emissions rules kick in 2020.

These so-called supercredits are earned if an automakers’ fleet includes low-emissions vehicles, such as electric cars.

BMW and Audi are the worst offenders at underreporting CO2 emissions, according to an International Council on Clean Transportation report released last month.

The automakers haven’t done anything illegal, according to the study, which compared official and “real-word” fuel consumption and CO2 emissions for passenger cars in Europe. The study found the average discrepancy between them rose from less than 10 percent in 2001 to 25 percent in 2011.

BMW’s reported emissions are about 30 percent below real-world numbers while Audi’s gap is about 28 percent, the study says.